South Sydney is home to thousands of strata schemes, from high-rise apartment blocks to converted terrace buildings. Disputes around common property defects such as water leaks are common and a recent decision from NCAT (NSW Civil and Administrative Tribunal) and the NSW Supreme Court in 2024 provides essential guidance for both lot owners and strata committees.
In the Selkirk case, a Sydney lot owner suffered damage to their bathroom caused by a long-standing leak from common property. The Owners Corporation failed to repair it in a timely manner and the owner sought compensation for lost rent.
The NSW Supreme Court clarified that Owners Corporations have a strict legal duty under the Strata Schemes Management Act 2015 to maintain common property. But compensation isn’t automatic. The owner must also prove the breach caused their loss, and that they didn’t contribute to the delay or damage.
With many ageing apartment buildings in Redfern, Surry Hills and Waterloo, common property defects like leaks and balcony defects are frequent. This case reinforces that Owners Corporations must act diligently to repair common property defects, and affected owners should document their own conduct if seeking compensation.
If you have any questions about strata matters, you can contact NSW Fair Trading via phone on 13 32 20.
